Today’s Federal Register contains amendments to regulations relating to the requirement under section 274 of the Internal Revenue Code to substantiate business expenses for traveling while away from home and final regulations relating to controlled foreign partnerships.
The New York Times has this article by Mary Williams Walsh: “G.M. Profit Gets Lift From Pension Deal.”
On the SEC’s Announcement Yesterday:
Bloomberg News for the New York Times reports: “S.E.C. Passes Rule Changes for Options.”
Reuters provides this report: “Shareholders Must Vote on Stock-Based Pay.” The article discusses how “inducement awards” — or signing bonuses — for new executive hires, as well as some stock-based pay plans related to mergers and acquisitions and some pension plans, are exempted from the rules.
“Executive stock options limited”: the Sacramento Bee reports on how some are applauding the SEC’s action yesterday requiring shareholder approval for stock option plans, some are calling for more action, and some are saying the SEC’s action will hurt start-ups.
Amy Strahan Butler for Bloomberg News via the Seattle Times also reports: “Investors gain stock-option clout.” Under the NYSE’s new listing standards, brokers who hold securities on behalf of customers wouldn’t be allowed to vote on equity-compensation plans without instructions from the owners of those shares. The article reports that “[s]ome companies fought that provision, saying it would make it hard for them to get a quorum of shareholder voters since brokers have custody of most customer shares.” The article quotes Ann Yerger, deputy director of the Council of Institutional Investors, which represents funds managing a total of more than $2 trillion, as applauding the new rule for brokers since brokers “always vote for management” and this constitutes, she says, “stuffing the ballot box.”